Vallar Plc, London-based listed company, plans to seek financing next year in a bid to refinance expensive debt obtained by Indonesia's largest thermal coal exporter PT Bumi Resources Tbk (BUMI) from China Investment Corporation (CIC) late last year.
Vallar financial adviser Daren Morris, as quoted by Bisnis Indonesia today, said the stumbling block for Bumi is currently expensive debt received from CIC. "We will seek equity financing next year to pay nearly US$2 billion BUMI's debt to CIC," he said.
Few options will be explored such to enlarge capital of 10% (non-preemptive rights) to certain strategic investors and preemptive rights issue. He said Bumi enables to draw 8% interest loan from London market
Disclosure: No position at the stock mentioned above.
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